Research and Markets: Colombia Telecommunications Report Q1 2012: Growth Exceeds Expectations

DUBLIN--()--Research and Markets (http://www.researchandmarkets.com/research/a83c2b/colombia_telecommu) has announced the addition of the "Colombia Telecommunications Report Q1 2012" report to their offering.

The Colombian mobile market grew strongly in Q211 and reached 46.3mn subscribers at the end of June 2011. Net additions have been strong since Q409 and BMI does not expect growth to decline massively in the short term. However, as the penetration rate reaches 100%, subscribers will become increasingly difficult to secure - BMI does not expect strong growth to continue indefinitely, but to begin slowing down. Not all operators experienced growth in Q211. Movistar reported a second consecutive quarter of net losses, finishing June 2011 with 9.95mn subscribers. However, this is due to the discounting of unused SIMs, and gains can be seen in ARPU figures as a result.

Business Monitor International's Colombia Telecommunications Report provides industry professionals and strategists, corporate analysts, telecommunication associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Colombia's telecommunications industry.

BMI increased its forecasts in 2011 as growth for other operators exceeded expectations. The further auction of mobile spectrum in August 2011 has also increased the capacity to provide for the growing demand for data services. Local mobile operator Comunicacin Celular (Comcel) and Luxembourgbacked Colombia Movil (Tigo) managed to get 5MHz each in band A, while Telefnica-backed Movistar was awarded 5MHz in band D and 10MHz in band E.

Mobile interconnection fees were cut this quarter by the regulator. This meant ARPUs may fall in future quarters. However, the two operators which report ARPUs, Movistar and Comcel, experienced increases this quarter. This follows stronger demand for data services.

The fixed-line segment reported gains in Q211, reversing the steady decline it experienced through 2010 and Q111. Telmex and EPM reported gains in fixed-line subscribers, as did some of the smaller operators in the market, although the bigger players such as Telefnica and ETB continued on the downward trajectory.

The rapid increase in the use of mobile internet is putting pressure on the market's fixed broadband operators to maintain their appeal as the market expands. Data show how mobile broadband users are quickly catching up with fixed broadband subscriber numbers, and with the launch of LTE technology, this is likely to gain pace. Government initiatives such as removing VAT on domestic broadband connections, will boost demand and BMI has revised up its forecasts this quarter following strong performance in the broadband market.

Companies Mentioned:

  • Telefnica Telecom
  • TEM Colombia
  • Comcel
  • Colombia Movil

For more information visit http://www.researchandmarkets.com/research/a83c2b/colombia_telecommu

Contacts

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Contacts

Research and Markets
Laura Wood, Senior Manager,
press@researchandmarkets.com
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716